The course of events had proved the correctness of Hamilton's views, as he calmly consulted the great permanent interests of the country. Though in his liberal spirit the advocate of a policy which, he observed, would establish" our system with regard to foreign nations upon those grounds of moderation and equity by which reason, religion, and philosophy had tempered the harsh maxims of more early times, and that rejects those principles of restriction and exclusion which are the foundations of the mercantile and navigating system of Europe;" yet, judging wisely of human nature, of the force of habit, prejudice, and passion, he had from the earliest period indicated the necessity of conferring upon congress the power "of regulating trade, laying prohibitions, granting bounties and premiums."* And when he saw the confederacy nerveless the states in collision-the people desponding -their energies withering under the restrictive regulations of Europe-he then again avowed the necessity of counteracting "a policy so unfriendly to their prosperity, by prohibitory regulations extending at the same time throughout the states," as a means of compelling an equal traffic; of raising the American navigation so as to establish "an active" instead of "a passive commerce;" of "a federal navy, to defend the rights of neutrality."

These views, as the perspective of this vast republic rose before him, were embraced in the exhortation-"Let Americans disdain to be the instruments of European greatness! Let the thirteen states, bound together in a strict and indissoluble union, concur in erecting one great American system, superior to the control of transatlantic force or influence, and able to dictate the connection between the old and the new world !"†

The Constitutionalist, No. 4, August, 1781-No. 6, July 4, 1782 + The Federalist, No. 11.

CHAPTER XLI.

IN the domestic situation of this country there was much to justify distrust. The definitive treaty had indeed assured almost Roman limits to the new republic; but the eastern boundary was disputed-the western deniedwhile from the frowning fortresses which dotted its outline, each morning's drum-roll struck alarm into the breast of the borderer, as it awakened in the crouching savage his slumbering appetite for carnage. The interior subdivisions were also unsettled. The coterminous states of Massachusetts and New-York had not yet wearied of their disputes. Pennsylvania, though her rights had been established under a constitutional tribunal, was threatened with a contest with the New-England settlers at Wyoming, who were preparing to refer their claims to the most summary arbitrament. Virginia was compelled to release Kentucky from her reluctant embraces. North Carolina was dissevered, and a fragment of her domains was forming into an independent state under the name of Frankland, of which an assembly preparatory to a convention had met.* While so many inducements existed to adopt a comprehensive national policy, such was the prevalence of state jealousy, that instead of labouring to invigorate the arm of the general legislature, an aversion to the restraints of law, and an increasing disposition to withhold confidence from the constituted authorities, were daily developed. Instead of looking for remedies to relieve the

* August 1, 1785.

public distresses, in every part of the continent the prevailing anxiety appeared to be to discover new objects upon which to vent dissatisfaction. A bill to repeal the charter of the Bank of North America passed the assembly of Pennsylvania. In New-York, a memorial to incorporate the bank, of which the constitution had been framed by Hamilton, was presented to the legislature early in seventeen hundred and eighty-four; but so prevalent was the jealousy of a moneyed influence, that it was compelled to conduct its affairs during six years without corporate immunities. The cry arose that banks were combinations of the rich against the poor, although, when not abused, their tendency is to raise industrious poverty above an undue influence of wealth.

These were minor indications. The craving appetite of discontent called for food, and the recent combinations of military men, and the dangers of a standing army in time of peace, became fruitful themes of clamour. An association of the officers of the late army, formed at the encampment on the Hudson, "to preserve inviolate the liberties for which they had bled, to promote and cherish national union and honour, and to render permanent the cordial affection of the officers by acts of mutual beneficence," under the now venerated title of "the Society of the Cincinnati," to continue during the lives of the members, with succession to their eldest male posterity, became an object of the most violent and wide-spread hostility.

The alarm was first sounded in an address under the signature of Cassius, written by Ædanus Burke, a judge of the supreme court of South Carolina, professing to prove that this association created a race of hereditary patricians, and full of trite allusions to the orders which had sprung up during the ages of European barbarism.

This popular topic was echoed throughout the states, and having performed its office in America, was seized

upon by Mirabeau, and depicted with all the power, art, and eloquence of his extraordinary genius.

The distrust thus excited in the minds of the people was cherished by persons, who, having served wholly in a civil capacity, had long been jealous of the superior popularity of Washington and of his companions in arms. One, with cold philosophy, advised them to "melt down their eagles"*—while another, with all the vehemence of "a disordered imagination," denounced the association as an inroad upon the first principles of equality—the deepest piece of cunning yet attempted-an institution "sowing the seeds of all that European courts wish to grow up among us of vanity, ambition, corruption, discord, and sedition." The outcry which had been so successfully raised was deemed of sufficient importance to require the attention of the society.

A general meeting was convened, at which Washington, the president-general, presided, and an abolition of the hereditary provision was recommended. The following documents relating to this subject, show how entirely the real objects of this association corresponded with its professed purpose, and with what sentiments Washington viewed this impeachment of his pure and elevated patriotism. Hamilton thus represented to him the proceedings of the state society of New-York.

Major Fairlie is just setting out on a visit to you, I believe on some business relating to the Cincinnati. The society of this state met some short time since, and took into consideration the proposed alterations in the original frame of the institution. Some were strenuous for adhering to the old constitution, a few for adopting the new and many for a middle line. This disagreement of opin

ion, and the consideration that the different state societies pursuing different courses-some adopting the alterations entire, others rejecting them in the same way-others adopting in part and rejecting in part-might beget confusion and defeat good purposes, induced a proposal, which was unanimously agreed to, that a committee should be appointed to prepare and lay before the society a circular letter expressive of the sense of the society on the different alterations proposed, and recommending the giving powers to a general meeting of the Cincinnati, to make such alterations as might be thought advisable to obviate objections and promote the interests of the society. I believe there will be no difficulty in agreeing to change the present mode of continuing the society; but it appears to be the wish of our members that some other mode may be defined and substituted, and that it might not be left to the uncertainty of legislative provision. We object to putting the funds under legislative direction. Indeed, it appears to us the legislature will not, at present, be inclined to give us any sanction.

"I am of the committee, and I cannot but flatter myself that when the object is better digested and more fully explained, it will meet your approbation.

"The poor Baron is still soliciting congress, and has every prospect of indigence before him. He has his imprudences, but upon the whole, he has rendered valuable services, and his merits and the reputation of the country alike demand that he should not be left to suffer want. If there should be any mode by which your influence could be employed in his favour, by writing to your friends in congress or otherwise, the baron and his friends would be under great obligations to you."

Washington replied:-"I have been favoured with your letter of the twenty-fifth of November, by Major Fairlie.